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Organizational Manual: Meaning, Types, Advantages and Drawbacks

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Organizational Manual: Meaning, Types, Advantages and Drawbacks!

Meaning:

An organizational manual provides and supplements additional details to the information supplied by organization chart. It provides information on pertinent matters about each position. The members of organization will find it to be a readily available reference defining the scope of authorities and responsibilities of management positions and the channels to be used in obtaining decisions or approvals of proposals. Every manager will see clearly the responsibilities of his job and his relationship with other persons in the organization.

The complex relationship in the organization is clearly understood. An organizational manual also provides uniformity and consistency in the procedures and practices. It provides detailed procedures for providing training to new employees and refresher courses to others. The manuals are periodically reviewed and changed whenever major policies are changed or there is a need for such action. Manuals also help in delegation of authority and management by exception.

Types of Manuals:

Manual may be classified under various heads.

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Some of the types are given as follows:

1. Policy Manual:

This manual contains policy decisions, resolutions and guidelines given by the management. It gives the scope and limitations within which various policies should operate. The persons concerned with the implementation of policies get proper guidelines and try to ensure the implementation of every bit of it. Manuals also provide the course of action to be adopted for implementing policies.

2. Organization Manual:

This manual gives a detailed account of the organization. The authority and responsibility of every person is given in detail. It avoids confusion and conflicts among various persons. The extent of authority and the relationship of executives is explained in this manual. The extent of span of management and delegation of authority are facilitated by a properly drawn manual.

3. Rules and Regulations Manual:

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It contains various rules and regulations followed in the company. The day-to­day working of the enterprise is greatly facilitated. The employees get information about working conditions, admissible holidays, procedure for getting leaves sanctioned, the facility and procedure for availing medical facilities, the use of canteen, library, etc.

4. Departmental Manual:

Separate manuals are prepared for different departments. A departmental manual gives full details about the working of a department. It will show organization of the department, relationship among various persons in the department including their authority and responsibility, rules and procedures followed for undertaking various tasks, inter-departmental relationship, etc. Departmental manual helps in the smooth working of a department.

Advantages of Manuals:

Organizational manuals have the following advantages:

1. Written Information:

An organizational manual provides written record of every important policy, decision and procedure. There will be no confusion about authority and responsibility. There will not be any scope for misunderstan­ding about anything.

2. Helpful in Day-to-Day Working:

A manual contains details of rules, procedures and regulations which help employees to understand the working of the enterprise. The employees will easily follow the routine after reading the manual and it will smoothen the day-to-day working.

3. Avoiding Conflicts:

Organization clears authority relationship among various persons and it helps in avoiding jurisdictional conflicts. In the absence of this manual there is every likelihood of confusion over some work. There may also be a duplication of work.

4. Helpful to New Employees:

The new employees are able to understand the working of the enterprise. They will quickly start following various rules and procedures. They also learn the responsibilities of their jobs and their relationship with other jobs.

5. Quick Decisions:

When all directions and instructions are available in writing then decision taking becomes quick. The persons required to take decisions are clear about their powers and decision taking becomes easy under such situations.

Drawbacks of Manuals:

The manuals suffer from the following drawbacks:

1. Expensive:

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The compilation of manuals requires much costs. The manual being expensive, small-scale concerns cannot even afford them.

2. Time Consuming:

Preparation of various manuals is a time-consuming process. Moreover, these require a constant review which again takes too much time.

3. Rigidity:

When written guides, instructions and procedures are available then there is hardly any scope for variation. One has to follow standard prescribed procedures in completing a task. There is no scope for discretion and initiative.

4. Embarrassing:

Some relationships are such which people will not like to put in black and white. It becomes embarrassing in revealing such relationships.